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Author Topic: FLEX - The Future Looks Very Bright!
Sparky Santos
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FLEX shares were up nicely today on volume that was three times the 10-day average. Clearly, FLEX appears to be in the right place at the right time.

If Sparky’s read developments correctly over the past few decades, the vast majority many US manufacturing giants, mostly in their efforts to inflate profits by slashing expenses, have allowed their producing and assembling capabilities to shrink and decentralize to unprecedented levels.

Sparky therefore can’t imagine how very many could possibly conceive, design, engineer, produce, and successfully bring to global markets a new electronic product without firsthand assistance from a capable partner like FLEX.

In a recent Kronos press release, the CEO summed things up perfectly when he said, "As the leading global electronics manufacturing services provider, Flextronics offers Kronos the skills and experience necessary to ensure the Kronos electronics are designed for cost effective mass production, as well as for meeting stringent military specifications."

In a nutshell, the producers of many of today’s new products, especially leading edge electronics gadgets, lack the time or resources to also concern themselves with the actual production aspects of their inventions. But at the same time, those with new products cannot overlook the importance and complexity of the production, assembly, and packaging processes required to get their new product to market.

And if you’re into technical analysis at all, it’s very hard to ignore the fact that the FLEX share Relative Strength Index (RSI) hit a 25-month record low of 17.21 on 08/12/2004, and that ever since then FLEX shares have traded quite strong, despite very volatile and mostly down equity markets.

What’s more, in July of 2002 when Flex’s RSI dropped below 25 (which signals a strong oversold condition), in the subsequent three months FLEX share closing prices rose from around $ 6 to $ 11. And during the 3 months following the most-recent time that Flex’s RSI dropped below 25, which was September of 2002, FLEX share prices rose sharply again, that time from $ 6 to $ 12.

As a closing note, Sparky urges FLEX shareholders to also take a close look at Tiger Telematics (TGTL). TGTL is the company behind Gizmondo, a futuristic and high quality mobile gaming unit that’s about to be launched in the UK within the next few months. In addition to being a kickass gaming unit, Gizmondo also performs the following functions: It serves as a movie player, allowing users to view full-feature videos using the unit’s built-in SD Card slot; it functions as an MP3 player permitting users to download, store, and listen to select audio files; it’s an SMS & MMS messaging facility that lets users easily send text, image, and music files; and it sports a neat, high-resolution digital camera.

In order to efficiently bring Gizmondo from the idea phase to a finished product, TGTL assembled an impressive team of respected and well known companies that includes Celestica, Microsoft, Samsung, Toys R Us, and Ogilvy. And also notably present on this Gizmondo team are many lesser-known specialty firms.

If first-year Gizmondo sales are anywhere near the 2,000,000-unit magnitude that Sparky thoughtfully anticipates, Tiger Telematics will find itself in desperate need of a company like FLEX. Only under such an arrangement will TGTL succeed in meeting a growing global demand with a steady and geographically targeted supply.

In fact, research in anticipation of this desirable event is precisely what drew Sparky directly to Flextronics International, Ltd. And once there, Sparky liked everything he learned and hopes that future circumstances do dictate an association between these two fine growth-primed companies.

Tiger Telematics shares are currently priced near $ 9 and trade under the symbol TGTL.

Sincerely,

Sparky


Posts: 113 | From: Cummaquid, MA USA | Registered: Jan 2004  |  IP: Logged | Report this post to a Moderator
glassman
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now i know the market is coming back...tell Sparky i said thanx ...

[This message has been edited by glassman (edited August 26, 2004).]


Posts: 36378 | From: USA | Registered: Sep 2003  |  IP: Logged | Report this post to a Moderator
   

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